The big question that I and many others had about the new $6,500 tax credit for current homeowners, is whether buyers with their houses currently under contract would be eligible under the new bill.
The answer, according to the National Association of REALTORS (R) is YES!
The bill was signed into law today by President Obama, and goes into effect TODAY.
Congratulations to those who qualify!
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Please note, I still recommend speaking with your tax accountant to be certain on dates and qualifications. I am not a lawyer or tax accountant and am not offering tax or legal advice. I am reporting on information provided to the public by the National Association of REALTORS(R) based on their lawyers’ interpretation of the bill.
[…] **Update: according to the National Association of REALTORS (R) , the answer is YES, settling after November 6, 2009, even if under contract before the bill was signed, these buyers would qualify for the credit.** […]
yes, it’s good news, especially for those who qualify.
I closed on my house on October 30th, and lived there for over five years. Do I qualify for the 6500 rebate? The new bill was signed one week after I closed. I did live in the house for five of the last eight years, but am I considered a homeowner as of Nov 6th? I did have a contract on my new house before the bill was signed.
John, I am not sure I understand your question, because I am unclear as to whether you settled the one you lived in for 5 years or that one AND your new one on October 30th.
If you settled the home you bought before the bill was signed into law, you would not be eligible.
However, if you settled on your NEW home after November 6th, then you may be.
You should ask your tax attorney to be certain.
Congrats on selling your home and buying a new one either way!
I havn’t purchased my new house yet. My question was if I qualified as a “current home owner” since I sold my old house before Nov 6th. Currently, I don’t own a house, but I am closing on my new one Dec. 7th. I did have a contract before the bill was signed in. I was thinking that I had to be a home owner on Nov 6th to qualify. I did own my previous house for five years of the last eight, but I didn’t own it on Nov. 6th.
John, I highly recommend calling a tax attorney with that question, because it does not appear that it is addressed in the bill directly. If you did own the home for the past 5 years, then it would appear that you qualify, based on others’ interpretations of the bill. (See the second to last question/answer here: http://www.realtoractioncenter.com/realtor-party/documents/2009-NAR-FAQ-Tax-Credit-Changes-1105-1236.pdf — in this case the homeowner sold it TWO YEARS ago and the NAR’s attorneys say YES! Congrats!)
Good luck!
[…] have been receiving more emails and questions regarding the newly expanded homebuyer tax credit, so I wanted to address them and share links to documents from the IRS and the National Association […]